Jan/100
NAR Monthly Report
NAR Monthly Report
NAR reports that December saw a monthly decrease in sales, but prices and sales rose in 2009 compared to 2008. We had a surge in home sales and prices from September all the way through November, due to the tax stimulus ans seasonal sales.
Sales of existing homes, condos and co-ops fell 16.7% abut are above the 08 December numbers by 15%. Given that this is the first annual gain, by NARs numbers, its encouraging. NAR goes on to note that the extended tax credit and seasonal strength will no doubt see us through another increase and perhaps a positive year.
Expanded and Extended Tax Credit
Some Pointers
1. First Time Home buyers: A tax credit of up to $8,000 is available for first-time home buyers purchasing on or after January 1, 2009 and on or before April 30, 2010.
2. Repeat Home buyers: A tax credit of up to $6,500 is available for repeat home buyers who have owned a home for five consecutive years out of the prior eight years. The repeat home buyer tax credit applies to houses sold after November 6, 2009 and on or before April 30, 2010.
3. Income limits: for sales occurring on or after January 1, 2009 and on or before November 6, 2009 are $75,000 for individual taxpayers and $150,000 for married couples filing jointly.
4. Home Price Limits Imposed: Homes priced above $800,000 are not eligible for either the first-time home buyer tax credit or the repeat home buyer tax credit.
5. Family Relatives: Home purchases from relatives of the taxpayer or the taxpayer’s spouse do not qualify for the tax credit.
6. Married couples: are not eligible to claim the first-time home buyer tax credit if either spouse has previously owned a home.
REsourced from www.yourpropertypath.com
You may republish this article, as long as you do not edit and you agree to preserve all links to the author and www.yourpropertypath.com
Jan/100
New Schlitterbahn water park to boost real estate value in Cedar Park
Austin-San Marcos, TX (1888PressRelease) January 30, 2010 – Schlitterbahn Water parks announced plans Jan. 28 for the “Schlitterbahn Boutique™ Hotel and Conference Center” in Cedar Park. Realtor Rocky Breon said the new water park is sure to boost the economy and increase the value of real estate in the Cedar Park area.
“Schlitterbahn’s new water park will be wonderful for the local economy,” Breon said. “The summer jobs it will create and the tourism it will generate is great for Cedar Park.”
Breon also said she expects more families will move into the area as they take into account both the government tax credit that is currently available for home buyers and an amenity like Schlitterbahn’s new water park.
Joshua Geary is a resident of Leander and he owns and operates a small business in Cedar Park.
“I’m excited about the new Schlitterbahn water park,” Geary said. “Cedar Park is burgeoning and is a great place to live or work. As a businessman, I’m looking forward to how this will increase the tax base and bring more revenue into the local economy.”
The cost of the project is estimated at $360 million and possibly could create several thousand jobs, according to a news release by Schlitterbahn. The release also said the park is planned to be built on RM 1431, between U.S. 183 and Interstate 35.
“It’s a prime location for the park,” Breon said.
Breon said the location for the new water park is ideal because of the multiple subdivisions and shopping centers located in the area and it will be easily accessible from two major highways.
Press Release written and distributed by http://www.BestOnlineResults.com
About Rocky Breon:
Rocky Breon is an experienced realtor specializing in your real estate needs and meeting and surpassing your objectives. She helps families buy and sell homes in Austin, Cedar Park and Leander, Texas. A top producer and certified negotiation expert, she works with both residential and commercial real estate.
For more information visit http://www.RockyandLindsay.com.
Media Contact:
Rocky Breon
JB Goodwin, Realtors
3933 Steck Avenue, Suite B-110
Austin, Texas 78759
Cell: 512-577-2678
Alt: 512-669-9304
Fax: 512-528-8884
Jan/100
Benefits of Living in Austin Townhomes
January 28, 2010 on 1:19 pm | In real estate | No Comments
There is no need to worry when you are living in Austin townhomes. It seems like life is worthwhile when staying here and you get the kind of feeling that you are well provided. Have a perfect life in one of the healthiest, clean living, flawless homes. In Austin Texas townhomes, you need not to focus on the maintaining task everyday to make your home pleasant. Instead of wasting your time doing chores, you can spend it doing important things. Take a look and feel relaxed that a real townhome deserves to offer you.
You will say goodbye to everyday cleaning if you are to live in a townhome, all you have to do is make yourself comfortable and do the things you really loved. Assessing the financial advantages in living in a townhome can be a practical to do as of this time. If you are still on the process of making plan for the future and you think that you are not settled up, leasing a townhome might be a good idea.
The townhome leasing may be a very suitable alternative for people who are still in the trying phases of their lives. They are the perfect option for you if you are not quite sure at this time of what to buy for a long term accommodation. Another type of people who usually take benefit of the Austin townhomes is those in the retiring stages of their lives, when all you want to do is to take benefit of a place where you do not need to do all the chores you have been dealt with all lifelong.
Austin townhomes are intended for those friendly people because the townhouses are full of neighbors. If you loved other people’s company, surely will make the townhomes an enjoyable village for you. You know what is good about the things in townhomes? Before you will have the lease, you can have chats to the residents. By doing these you will have a preview of your future neighbors .You can asses the townhomes. Consequently, during the transfer, you will absolutely be confident you will like to live in the townhome.
Nearly all, Austin Texas townhomes are reasonably priced so that the owner will use the other budget on other expenses like moving to the unit from the old residence. Leasing a townhome is a gift for yourself, imagine the comfort living it gives .Besides living in a townhome will be of advantage in terms of protection and safety measures which actually package in leasing a townhome. Single family homes and condominiums are almost the same.
Most townhomes tenders luxurious amenities like fitness centers, clubs, sports courts, swimming pools, spa, and playgrounds in addition to several other outdoor and indoor amenities.
The flexibility is another important aspect that you need to take into account when it comes to the townhomes leasing. You will take advantage of the area you want to live in at the best possible prices. All you need to do is to choose the home that you want and you will be able to move there right away.
As you may know, there really is no such thing as a perfect home, but at least you could try to make it close to that. Make sure that you do not cross the line with the other tenants by respecting them and their rules being in Austin townhomes. It is just basically living harmoniously with your co-townhome owners. Try to always pay your dues on time, or if not you can ask landlord for grace period for payments. If you talk to them sincerely, they will consider your request.
Discuss the security deposit, which is very important. If you don’t have idea on this, it is the down payment you paid right after your transfer . This is actually refundable in accordance with the agreement. Most landlords request this kind of payment in case of the tardy payment of the rent or for the likely damage of the home. These matters should be conversed with the owners prior to contract signing.
Austin townhomes can be the wonderful answer for every person and if you do the right information gathering, you can find out among them the homes you have always wanted.
This day is your lucky day and the time to purchase Austin townhomes. Beyond that, Austin Texas townhomes are GREAT properties to own. Whether you’re searching for plenty of space or a great place and a fantastic price, you’ll find what you’re searching for in Austin townhomes.
Jan/101
1,000 TEXAS TAX CREDIT CLAIMS FLAGGED FOR POSSIBLE FRAUD
DALLAS (Dallas Morning News) – Nearly 1,000 first-time homebuyer tax credit filings in Texas have been flagged for possible ill-use of a taxpayer identification number primarily used by illegal immigrants, who are not entitled to the credit.
This number represents nearly one-third of the 3,200 suspicious homebuyer tax credit claims submitted by noncitizens around the country, the total of which are valued at $20.8 million, according to the U.S. Treasury Department.
Russell George, the Treasury inspector general for the tax administration, said that involvement of third-party preparers in some questionable homebuyer claims filed nationwide suggested that there may have been “conspiracies and attempts to cheat the government by more than one person.”
Of the 1.5 million claims made to the Internal Revenue Service for the tax credit, the Justice Department has filed one criminal case and one civil injunction against tax preparers for submitting false claims for the homebuyer credit. One of these cases was from Mission, Texas.
Jan/101
National home sales down, Austin area remains optimistic
| 1/25/2010 6:35 PM By: Harlan Schmidt
Nationwide in December, existing home sales posted the largest monthly drop in more than 40 years. The decline came after the $8,000 first-time buyer credit was extended, signaling that buyers stopped scrambling to meet the November deadline. Now, many economists are wondering what will happen to the market, once the government starts to pull back its support in the spring. Kathy Krebs and her husband took a financial hit on their house in California and moved to the Austin area for work. They have waited since they got to the area in May to start shopping for another home.
“We’re taking our time, like I said, we moved here in May and we don’t want to make a mistake, you know, we’ve been through that in California. So, we had heard that the market was still going down, so we’ve just been very cautious. And things are starting to stabilize now, but the inventory when we first moved here was still just so big and the inventory is going down now,” Krebs said. Kathy is not the only one uncertain about the real estate market. In the spring, the government’s existing tax credits for home sales are expected to expire, and it will face increasing economic pressure to raise interest rates. Now national analysts are wondering if the relative stability in the housing market can sustain itself.
In Central Texas, realtors are saying it can. Christy Gessler is a realtor in Williamson County, and has watched the market there remain stable compared to the rest of the country. “From December of ’08 to December of ’09, we actually saw home prices trend up a little bit here, even though numbers of homes did decrease a little bit in sales. So really our numbers, right here, statistically that we’re showing here in Williamson County, we are basically on par with our numbers from 2007,” The Austin Board of Realtors agrees. Chairman John Horton said an end to government incentives for buyers shouldn’t change the theme of relative stability for Central Texas.
“I don’t think there will be a fall back after that. But I think it has been definitely instrumental in starting the market and continuing to move it up,” said Horton. Most are looking to an end in job losses to signal real stability. Additionally a bottoming out of the new home market has been regarded as an indicator of recovery. “I’m not too worried about the timing of it I still believe that people understand that owning a home is the American dream, it’s good for building long term wealth, and I think that even though this has probably incentivized people to work a little harder to get this done now, I still think they will understand the benefits in the future,” Gessler said. The extended home buyer tax credit is set to expire April 30. To qualify applicants must have a binding contract before that date and close on a home by July 1. |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Jan/100
Why Real Estate Investing is the Best Type of Investing to Get Into This Economy
When I tell some of my friends that I am a real estate investor during these ‘tough’ economic times, they tell me that I am crazy. They’ll say “Tom, haven’t you seen the news? Now is a terrible time to be in real estate. The market is horrible.” Well, if I’m going to buy a suit or shoes or even a car, I’m going to want to pick it up for as much of a discount as possible. And right now, real estate is on sale! Doesn’t this make it the perfect time to get involved?
So for those of you fortunate enough to have money, the big question is what should you do with your money? The obvious answer: Do NOT put it in a bank! Why earn 2% when inflation is over 5%? The safest bet is to invest in revenue producing assets. There are many types of investments in which you may focus: gold, silver, foreign currencies, the stock market, etc… But right now, for this economy, investing in real estate is ideal for me. Why?
First, if purchased properly, you should be able to generate consistent monthly income. Can you do this with other investments? If you purchase gold bullion and give it to someone else to hold onto for 1 year, will they pay you monthly payments to hold onto it? Probably not. If you provide housing for someone for an entire year, will they pay you a monthly stipend greater than what you own to live in your property? Absolutely!
When purchasing real estate, you should always calculate if you can positively cash flow on a monthly basis. If you purchase real estate only for the equity and the market changes, you lose your equity. Add your inability to cash flow into the equation, and you have investors walking away from properties and higher foreclosure rates. Sounds like a situation many people in this economy are finding themselves in! However, if your purchase real estate for the cash flow and you lose your equity, well, you’re still receiving monthly cash flow so you can be patient and wait for the market to appreciate again.
This leads us to the second reason to invest: appreciation. Since 1968, home values have consistently appreciated at a rate of about 6.34% per year! Sure, some years have been better than others, but for the past 40+ years, homes have steadily increased in value. I think about my parent’s house in Nebraska that they bought in 1983 for about $50,000. When they sold it 20 years later, it had more than doubled in value! Ask anyone who has been living in their house for more than 20 years and they will tell you of similar increases in value.
Think about the financial advantages of purchasing a property, holding onto it for 20 years, and having the value double in that time period. Wouldn’t that investment be worthwhile? Now, imagine if you have tenants living in the property, paying your mortgage, and providing you with an extra couple hundred dollars a month while it appreciates! Isn’t that even better!
If you have a 401k and contribute to it for 20 years, the amount will grow significantly. But who is paying for your 401k while is grows in value? You are. And who is paying for your rental while it appreciates? Your tenant! Which retirement plan sounds most secure for your future, Social Security, investing in the stock market, or investing in multiple properties? It’s a no brainer!
Now to my favorite reason to invest in real estate: leverage. Let’s take a look at how you are able to take advantage of leveraging banks in growing your net worth with real estate versus investing in the stock market. Say you have $100,000 to invest and you are trying to decide between investing in the stock market or in real estate. If you invested $100,000 into the stock market, how much value would you be able to receive? Well, $100,000 worth of stock. But what if you invested $100,000 into a commercial property? How much value could you receive? In many cases, you could invest $100,000 into a $1,000,000 property and leverage a financial institution for the remaining $900,000! (Try going to a bank and telling them that you are willing to put 10% down if they will finance the remaining 90% of Berkshire Hathaway stock. They will laugh you out of the bank.) As a stock grows in value, you are receiving benefit only in that increment. But as real estate grows in value, you are benefiting at a much higher per cent.
To clarify, let’s go over an example. Let’s say both the stock you wanted to invest in and the property you want to invest in had a great year and doubled in value. How would each scenario work out?
In the stock scenario, if your $100,000 investment doubled, you would have $200,000. And to take full advantage of this windfall of funds, you would have to sell off your stock and receive a pre-tax gain of $100,000. Not bad.
In the real estate scenario, if your property value doubles, then your $100,000 investment will have earned you $2,000,000! Remember, it’s the value of the property that doubled, not your investment. And, unlike with the stock example, you wouldn’t necessarily have to sell to take advantage of your windfall. Say you decide to refinance at 70% loan to value. You would have ($2 mil x 70% minus $900,000 loan repayment and $100,000 initial investment) $400,000 profit minus fees. And is this income taxed? No! So you would be able to keep it all.
And what to do with $400,000? Well, why not invest in another commercial property worth $4 million? Now, between the 2 deals, you would have already accumulated a net worth of $6 million dollars through real estate as compared to $200,000 through the stock market!
In summary, the main reasons why investing in real estate now is better than any other type of investment is that it generates consistent, it has a history of appreciating value, great tax advantages, and you can leverage financial institutions to assist you with funding your deals.
Tom Bukacek is a successful real estate investor with properties is both Arizona and Texas. He also oversees a real estate investing group in Austin, TX with over 100 members. Tom’s main focuses are purchasing properties ’subject to’ and multi-family. If you would like more information on how to get started in real estate investing, please visit his website athttp://www.AustinRealEstateInvestingTeam.info
Jan/100
Austin home sales up 5%, 2009 down
Austin home buyers returned in force last month, increasing sales 5 percent from the same time in 2008, according to aAustin Board of Realtorsreport Wednesday.
The median price of the 1,373 homes sold in December rose to about $194,000, an increase of 6 percent year over year.
“We saw dramatic increases in sales volume in October and November 2009, which were presumably related to the original deadline for the first-time home buyer tax credit,” board Chairman John Horton said.
“However, increases in sales volume beyond November and figures that have improved steadily throughout the year indicate that, while some demand was driven by the tax credit deadline, a sustainable recovery is also underway in the real estate market.”
Despite the encouraging numbers, home sales were still down 6 percent from 2008. Homes sold last year drifted near a $188,480 median, which was down 1 percent year over year. Officials said the overall 6 percent decline in home sales is still a significant improvement when compared to the double-digit decreases experienced in the first quarter 2009.
Austin Business Journal
Thursday, January 21, 2010, 8:42am CST | Modified: Thursday, January 21, 2010, 8:45am
Jan/100
Second Austin Aloft hotel planned
By Shonda Novak | Tuesday, January 19, 2010, 06:33 PM
Just off the heels of Austin’s first Aloft Hotel opening at Endeavor Real Estate Group’s Domain project in North Austin comes news of a second Aloft, this one scheduled to open in December 2011 in Northwest Austin.
Work is expected to start in October on the 131-room hotel, which will be at 11224 Pecan Park Blvd. and called Aloft Austin Northwest.
Aloft is a limited-service boutique brand by Starwood Hotels & Resorts Worldwide Inc., with rates averaging $125 a night. The Domain location opened in November; it was the seventh Aloft to open in Texas, giving the state the largest concentration of Alofts in the U.S.
Starwood also plans to open Aloft hotels in downtown Fort Worth and downtown San Antonio, though no word yet on anticipated opening dates.
Nearly 40 Alofts were open by the end of 2009, and 50 are expected to be open worldwide by the end of 2010.
Jan/100
Austin’s Identity Crisis for Downtown Austin Real Estate
I don’t know if you’ve noticed— it’s certainly hard to miss— but the landscape around Austin is changing. As is the skyline. As is the… well, the feel of the city. The flavor.
Some Austinites are not excited about the changes going on. The corporations moving in, the family-owned and operated businesses go down while the thirty-six story condos go up. People who have lived here all their lives (or even just more than ten years) say that this is a different city than the one they remember. Back when they might not even have called Austin a “city.”
There was a time when Motorola was just a type of phone people had, not a place where they worked. When video games were a thing people played, not designed. Where Dell was a thing from a song about a farmer, not a computer company. In short, there was a time when Austin was a big, friendly village where everyone seemed to know everyone.
Now, it’s hard to see the sky without noticing the foreboding skeleton of an incoming condominium projects or a crane in your periphery. Developers are buying up land and displacing local businesses in order to get the best spot downtown for a high rise that will dwarf all the others, that will sell for more money, that will be nicer and closer to all the downtown Austin attractions.
But what are those attractions?
There will always be a Congress Bridge, and so there will always be bats. But will people want to walk from the Sheraton to see them, then get a drink at the Coyote Ugly Saloon franchise? Will they want to eat at the Baby Acapulco’s? What will make the town special when Las Manitas is gone, when all the little businesses that got us to this point are gone, and the only choices for restaurants are in the lobbies of the newest hotels?
What will make Austin Austin? It’s a good question.
It’s easy to see that the city has lost some its appeal. Its uniqueness, its originality. Big business has a way of doing that. But is it so bad? Is it really true that there will be nothing left?
Those small, local places brought people here, it’s true. And they certainly gave Austin its flavor. But millions more people are here now. The city has grown by leaps and bounds. People still need places to live. And the more people there are, the more money is being spent. There is much to be thankful for when we think about this new “bigger” Austin. The Austin real estate market values go up. Many businesses prosper. The city has more money to improve infrastructure and city services like parks. Its hard to allow it to change some of what we love, and some of the changes I’m not happy with. But overall I think it will be okay.
The key is that the people are still here. The same people that made Austin the coolest city in the… well, in my opinion in the entire country —are still here. They’re still waving at you from their yard, still smiling at you on the street. The buildings aren’t the personality in the city —the people in them are. So let’s make sure those people don’t go anywhere, and we’re all gonna be just fine. Yes, we may have to part with a couple businesses and landmarks dear to our hearts, but as long as Austinites keep true to what we love about this city, we will retain the part of our identity that is the most important.
Jan/100
Referral Letter
LeRoy Nellis :
We used LeRoy as our agent when we needed to lease our home in Circle C. We were leaving the country and were very concerned with leasing it to the right people. LeRoy was so helpful in so many ways and that he made the process a lot easier. He was always available to talk, he stayed on top of the other agents showing our house and followed up on all leads. We ended up turning down a couple of the applicants and he was very supportive in our decisions and helping us gain as much information as possible in order to make those decisions. We finally found the right people to lease the home due to LeRoy’s diligence and great attitude. Thanks LeRoy, we’ll use you again in the future!
Leslie Mester